WA Hotel Performance Road to Recovery; Accor calls for investing in events to accelerate the recovery of tourism

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Western Australia’s largest hotel group, Accor, is experiencing a sustained recovery in its network of hotels, apartments and resorts in Western Australia.

The continued strength of leisure travel, the recovery of business travel and the increase in international flights have supported the resurgence of tourism, with a positive outlook for the rest of the year.

Accor operates 25 hotels and resorts across the state, employing more than 900 people.

While city hotels have seen a decline during the two years of the pandemic and border closures, the Group’s regional hotels in Western Australia have bucked the trend as their popularity continues to rise.

Accor hotels in Perth had returned to 66% occupancy by the end of June 2022, just five percentage points behind the corresponding month in 2019, while the average rate was above pre-pandemic levels. It is expected that hotels in Perth could return to pre-pandemic levels by March 2023.

Regional Western Australia attracted even higher average rates and 65% occupancy in June 2022. The standout hotel was the Pullman Bunker Bay Resort in the Margaret River area, which recorded 29% higher performance in June 2022 compared to June 2019.

The continued strength of Accor hotels in regional tourist destinations was complemented by sustained strength in mining areas, and guidance remained positive for the year 2022-23.

“Our regional network has been relatively well isolated during the pandemic as border closures have created high levels of intrastate demand, and now is the time for our city hotels to rebuild their market base,” said Sarah Derry, CEO of Accor Pacific.

“The tourism industry will require government support for tourism generation and the establishment of new markets such as India, as overseas markets such as China are unlikely to recover in the short term. It is encouraging to see Western Australia outperforming other states in terms of rebuilding international demand, but forecasts indicate that arrivals will still be only 59% (SOURCE: Tourism Australia) of pre-pandemic levels by the end of the year. “

“We are encouraged by federal and state government initiatives to address skilled worker shortages by reducing red tape and making it easier for international workers to enter Australia and work for extended periods. The AHA WA estimated that the state is short some 15,000 jobs in the hospitality industry and that this has been impacted by the slow recovery of the international student sector.”

“Tackling the skills and job shortages in the tourism and hospitality sector must be a key priority for government at all levels. We welcome the Western Australian government’s announcement of a $3.9 million campaign to train more local hospitality workers, because while an immediate increase in skilled migration is needed in the short term In the long run, a “build your own” strategy is to address the shortage in the longer term”.

“Regional WA will continue to thrive, but as we re-open venues in Perth, it will be important for the state government to actively drive the growth of its CBD business by attracting more major events and conferences to the town. Cities across Australia and around the world are seeking major events because of their revenue-generating potential and Perth will need to ensure that it receives high visibility among potential events and conference organisers.”

“We are fortunate that Perth and Western Australia offer such exceptional tourism and economic potential. It’s a state of opportunity by any measure, but with the fiercest competition in the industry, we’re going to demand a comprehensive and collaborative response if we are to fully rebuild the industry to pre-pandemic levels.

“We believe tourism in Western Australia has a bright future.”

Since 2019, Accor has opened four new hotels (1,060 rooms) in Western Australia, including Mercure Perth on Hay (2022), Novotel Perth Murray Street (2019), The Adnate Perth – Art Series (2019) and ibis Styles East Perth ( 2019), creating hundreds of new career opportunities in the state.

About Accor, world leader in the hotel industry

Accor is a world leading hotel group made up of 5,300 establishments and 10,000 restaurants in 110 countries. The group has one of the most diverse and integrated hotel ecosystems in the industry, comprising more than 40 brands of luxury, premium, midscale and budget hotels, entertainment and nightlife venues, restaurants and bars, branded private residences, shared accommodation properties, concierge services, co-working spaces and more. Accor’s unparalleled position in lifestyle hospitality – one of the fastest growing categories in the industry – is led by Ennismore, a joint venture, of which Accor holds a majority stake. Ennismore is a creative hospitality company with a global collective of entrepreneurial, founder-driven brands with purpose at their heart. Accor has an unrivaled portfolio of distinctive brands and more than 230,000 employees worldwide. Members benefit from the company’s comprehensive loyalty program – ALL – Accor Live Limitless – a daily life companion that provides access to a wide variety of rewards, services and experiences. Through its global sustainability commitments (such as achieving net zero carbon emissions by 2050, global elimination of single-use plastics in its hotel guest experience, etc.), Accor Solidarity, RiiSE and ALL Heartist Fund initiatives, the Group focuses on driving positive action projects through business ethics, responsible tourism, environmental sustainability, community engagement, diversity and inclusiveness. Founded in 1967, Accor SA is headquartered in France and is listed on the Euronext Paris Stock Exchange (ISIN code: FR0000120404) and on the OTC market (Ticket: ACCYY) in the United States. For more information, visit group.accor.com or follow Accor on TwitterFacebook, LinkedIn and Instagram.

Claire Haigh
Accor Communications Director, Pacific
Accor



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